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Regional Income Inequality in Germany

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  • Immo Frieden
  • Andreas Peichl
  • Paul Schüle

Abstract

We characterize regional inequality in gross incomes at the municipality level in Germany using data from administrative tax returns for the period 1998-2016 More unequal municipalities are more likely to be urban and located in West Germany Decomposing the increase in inequality in the last two decades into a between and within municipality component, we find that the increase was entirely driven by growing inequality within municipalities Thirty years after reunification, Germany is a country with rather modest interregional inequalities but a growing level of intraregional inequality

Suggested Citation

  • Immo Frieden & Andreas Peichl & Paul Schüle, 2023. "Regional Income Inequality in Germany," EconPol Forum, CESifo, vol. 24(02), pages 50-55, March.
    • Handle: RePEc:ces:epofor:v:24:y:2023:i:02:p:50-55
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